12 Intangible assets

CHANGES IN INTANGIBLE ASSETS IN THE PERIOD JANUARY 1 TO DECEMBER 31, 2017
€ million	Brand names	Goodwill	Capitalized development costs for products under development	Capitalized development costs for products currently in use	Other intangible assets	Total

Cost Balance at Jan. 1, 2017	17,024	23,559	7,285	27,366	8,637	83,870
Foreign exchange differences	−30	−91	−44	−183	−192	−539
Changes in consolidated Group	–	−18	–	–	−112	−130
Additions	–	–	4,080	1,180	528	5,788
Transfers	–	–	−4,197	4,197	−7	−7
Disposals	–	7	10	3,607	266	3,890
Balance at Dec. 31, 2017	16,995	23,443	7,115	28,952	8,588	85,093
Amortization and impairment Balance at Jan. 1, 2017	84	0	39	15,040	6,109	21,271
Foreign exchange differences	−3	0	0	−122	−138	−263
Changes in consolidated Group	–	0	–	–	−84	−84
Additions to cumulative amortization	3	–	–	3,345	831	4,178
Additions to cumulative impairment losses	–	7	57	332	1	397
Transfers	–	–	–	–	2	2
Disposals	–	7	–	3,595	226	3,827
Reversal of impairment losses	–	–	–	–	–	–
Balance at Dec. 31, 2017	83	0	95	14,999	6,496	21,674
Carrying amount at Dec. 31, 2017	16,911	23,442	7,020	13,953	2,093	63,419

(XLS:)

Download

CHANGES IN INTANGIBLE ASSETS IN THE PERIOD JANUARY 1 TO DECEMBER 31, 2018
€ million	Brand names	Goodwill	Capitalized development costs for products under development	Capitalized development costs for products currently in use	Other intangible assets	Total

Cost Balance at Jan. 1, 2018	16,995	23,443	7,115	28,952	8,588	85,093
Foreign exchange differences	−43	−131	−20	−125	−103	−421
Changes in consolidated Group	–	6	–	0	12	18
Additions	–	–	4,192	1,042	581	5,815
Transfers	–	–	−4,040	4,040	41	41
Disposals	–	–	32	1,890	127	2,049
Balance at Dec. 31, 2018	16,952	23,318	7,215	32,020	8,992	88,496
Amortization and impairment Balance at Jan. 1, 2018	83	0	95	14,999	6,496	21,674
Foreign exchange differences	−2	0	−1	−55	−79	−137
Changes in consolidated Group	–	0	0	–	−1	−1
Additions to cumulative amortization	3	–	–	3,665	669	4,337
Additions to cumulative impairment losses	–	–	3	41	13	57
Transfers	–	–	−15	15	1	1
Disposals	–	–	–	1,897	109	2,005
Reversal of impairment losses	–	–	42	–	0	42
Balance at Dec. 31, 2018	84	1	42	16,768	6,989	23,883
Carrying amount at Dec. 31, 2018	16,868	23,317	7,173	15,251	2,003	64,613

Other intangible assets comprise in particular concessions, purchased customer lists and dealer relationships, industrial and similar rights, and licenses in such rights and assets.

The allocation of the brand names and goodwill to the operating segments is shown in the following table:

(XLS:)

Download

€ million	2018	2017

Brand names by operating segment
Porsche	13,823	13,823
Scania Vehicles and Services	949	990
MAN Truck & Bus	1,127	1,127
MAN Diesel & Turbo	415	415
Ducati	404	404
Other	150	153
	16,868	16,911
Goodwill by operating segment
Porsche	18,825	18,825
Scania Vehicles and Services	2,755	2,866
MAN Truck & Bus	587	595
MAN Diesel & Turbo	267	268
Ducati	290	290
ŠKODA	158	159
Porsche Holding Salzburg	156	151
Other	280	289
	23,317	23,442

The impairment test for recognized goodwill is based on value in use. Recoverability is not affected by a variation in the growth forecast with respect to the perpetual annuity or in the discount rate of +/−0.5 percentage points.

Research and development costs developed as follows:

(XLS:)

Download

€ million	2018	2017	%

Total research and development costs	13,640	13,141	3.8
of which: capitalized development costs	5,234	5,260	−0.5
Capitalization ratio in %	38.4	40.0	–
Amortization of capitalized development costs	3,710	3,734	−0.6
Research and development costs recognized in profit or loss	12,116	11,614	4.3

You are here:

12 Intangible assets